U.S. RECONSTRUCTION

Evening Post, Volume CXV, Issue 64, 17 March 1933, Page 7

U.S. RECONSTRUCTION

ECONOMY BILL IN CONGRESS

PASSED BY SENATE

United. Press Association—By Electric Telegraph—Copyright. WASHINGTON, March 15. The Senate tonight passed the Administration's half-billion dollar Economy. Bill after shunting aside all major amendments. The Bill goes back to the House of Representatives for approval of the Senate's minor alterations. The measure empowers the President to slash payments to veterans and Federal salaries. President Roosevelt asked Congress last week for authority to reduce veterans' compensation " and Government salaries, to take effect immediately. Pointing to the prospective Treasury deficit this fiscal year of 1,200,000,000 dollars, the President demanded emergency action for balancing the Budget. . "The very stability of our Government itself is concerned," he told Congress, "and when that is concerned the benefits of some "must be subordinated to the needs of all."

The cut in the veterans' costs will amount to between 330,000,000 and 400,000,000 dollars £rom the present annual billion -dollars. Senators and representatives have been deluged with telegrams of protest from veterans' organisations.